CIPD Intermediate Certificate and Diploma in Human Resource Management 12/30/2018

Employee engagement LO1 AC 1.1 Analyse the meaning principal dimensions and components of “employee engagement” and compare with other related concepts Emotional engagement Cognitive engagement Physical engagement Recap, what did we say was the meaning of employee engagement? Fundamental to the concept of employee engagement is the idea that all employees can make a contribution to the successful functioning and continuous improvement of organisational processes. Engagement is about creating opportunities for employees to connect with their colleagues, managers and wider organisation, it is also about creating an environment where employees are motivated to want to connect with their work and really care about doing a good job. Three core dimensions of employee engagement have been identified: What do you think these core facets/dimension are – discuss and be prepared to feedback. Emotional engagement – being involved emotionally in one’s work; Cognitive engagement – focusing hard while at work Physical engagement – willingness to go the extra mile The concept of flow – the holistic sensation that people feel when they act with total involvement. An engaged employee is someone who thinks hard about their work, feels positive when they do a good job and discusses work related matters and improvements with those around them. This can be viewed as a holistic sensation according to the CIPD, that people feel when they act with total involvement. DHRM 30/12/2018

The components of employee engagement 1.1 Employer engagement and the psychological contract Employee perceptions of job importance Employee clarity of job/role performance expectations Career advancement/improvement opportunities Personal growth and challenge elements within the role Regular feedback and dialogue with superiors Quality of working relationships with peers, seniors and subordinates Perceptions of the ethos and values of the organisation The organisation as an employer brand or employer of choice

Today’s objectives 1.2 Justify the need for alignment between engagement practices and other corporate components…… 2.1 Identify the principle drivers of employee engagement and evaluate the business benefits for the organisation and different stakeholders 2.2 Explain the application of employee engagement through job design, discretionary behaviour, role autonomy and organisational citizenship

Alignment…. Outline the organisations vision, mission and values Outline the organisations key objectives Define the employee engagement strategy and how this supports the organisations vision, mission, values and key objectives Set specific goals and measures of success for the employees engagement strategy Describe the actions to be taken to achieve the goals, what will happen, when and where and who will be responsible (Cook 2008:58) An employee engagement strategy should support and bolster the organisational vision, mission and business objectives, to ensure that employee engagement strategy is linked to business objectives Cook 2008 has set out the following steps She also advises organisations to ensure that employee engagement is embedded as a strategic goal and as a key indicator of business performance – for instance making managers accountable for the engagement survey results of their staff!

EE as a vital dimension…….. ……of HR policies, strategies and practices So why should the organisation be focusing on EE? What are the potential business benefits? Student activity – in groups According to research by professional services company Towers Perrin, organisations with higher levels of EE outperform their competitors in terms of performance and profitability on aggregate by 17 cent, it also identifies that evidence of a significant relationship between EE and financial performance is undeniable. Sirota Consulting in the US studied 28 multinational companies throughout 2004 and found that the share prices of organisations with highly engaged employees rose by an average of 16% compared to an industry average of 6% Studies show that a 10% incrase in employee engagement leads to a 6% increase in customer satisfaction and a 2% increase in profitiability ISR – 2005 showed companies with low levels of EE saw net profit fall by 1.38% in contrast above average levels of EE profits role by 2.06% Gallup research showed engaged employees are more productive, ore customer focused, less likely to leave the organization and more profitable than their counterparts DHRM 30/12/2018

Principle drivers 2.1 Four key elements that drive employee engagement: Well being Information Fairness Involvement Well being: Felling good about the organisation and having the organisation in turn care for you – thinking about external as well as internal for instance CSR how well the company does this Internally work life balance flexible working family friendly policies, job design challenge in the job employees feeling fulfilled in their role. Genuine care for the employee as expressed by their immediate line manager. Well being is also underpinned by a set of values the organisation stands by Information Having a clear vision of where the organisation is going in and what it wants to achieve and communicating this effectively – clarity around organisational goals also aligned to key work objectives Fairness In recruitment and selection, right people for the right job. Performance management process being clear about what is expected regular and motivational and developmental feedback. PDPs access to training, career and talent management fair reward and recognition Involvement Communication is a two way process, actively engage in conversation with employees Case studies to see how its done and to identify the principle drivers as an addition

Documented results Greater productivity Increased passion for and commitment to the organisations vision, strategy and goals Greater alignment with the organisations values A high energy working environment A greater sense of team Higher levels of creativity and innovation Boosted business growth Greater value creation (Cook 2008) In my copy only – let the students do the activity first and then show them this.

Documented results A greater sense of loyalty to the organisation Higher levels of staff retention, lowered attrition rates Better recruitment and selection Higher talent retention Employees being better brand ambassadors Attractive reputation Improved customer experience and customer loyalty Sustained long-term success (Cook 2008) Ultimately research continues to show a well substantiated relationship between employee engagement and business results which goes beyond satisfaction and loyalty. Conversely research by Gallup shows a tendency for actively disengaged employees to be significantly less productive than their engaged colleagues, show lower levels of customer focus and less loyalty to their organisation. So it is now a generally acknowledged business fact that employee engagement is a key driver of business successs

Application of EE 2.2 Recruitment and selection strategies – choosing the right fit and realistic job previews Strong induction and orientation programme Rigorous training and development – technical, soft skills, leadership development Incentives – recognition, profit sharing, long service Regular feedback Communication forums – intranet, newsletter, e- forum, conferences Recreational activities You already started to think about how to apply employee engagement strategies last week, just a recap on what we identified: The intention is to build an open and transparent culture to empower its people and develop entrepreneurs. Raising engagement levels and maintaining them takes time, effort , commitment and investment, it’s a two way process, organisations must work to engage the employee who in turn has a choice about the level of engagement to offer the employer. Also think about the application in the case studies.

The best places to work https://www.youtube.com/watch?v=z8wqS7 VkAcw http://www.cipd.co.uk/hr- resources/factsheets/employee- engagement.aspx

Bibliography Alfes, K. Truss, C. Soane, E. Rees, C. Gatenby M. 2010 Creating an Engaged Workforce. Findings from the Kingston Employee Engagement Consortium Project. Research Report http://www.employment-studies.co.uk/main/index.php Heskett, j. Sasser, E and Schlesinger, L (1997) The Service Profit Chain: How leading companies link profit and growth to loyalty, satisfaction and vlaue, Simon S& Schuster, New York Kahn (1990) Psychological conditions of personal engagement and disengagement at work. Academy of Management Journal. Vol 33, No 4 pp692-724 Cook, S. (2008) The Essential Guide to Employee Engagement Better Business Performance Through Staff Satisfaction. Kogan Page DHRM 30/12/2018